Developing countries' financial sector has been affected by a troubled macroeconomic environment and repressive policies. To improve their financial sector performance, some governments have responded with financial reform policies which have succeeded in only a few but failed in several countries. This book identifies the challenges and solutions for policymakers and financial managers in countries implementing financial reform policies. It analyzes the anatomy of success and failure of reform and argues for sound financial regulation and supervision in these countries.

The CFA Franc Zone in West and Central Africa represents the largest monetary union in the southern hemisphere, predating the European Monetary Union by decades. This book analyzes the recent economic experiences of the Franc Zone's member states and of its economic institutions. It pays particular attention to the way this disparate group of countries exploit the advantages and manage the costs of adhering to a single currency. It also analyzes the impact Franc Zone institutions have on poverty.

This timely book explores the measurement and consequences of financialisation, as well as its driving forces, to take a fresh look at reconciling the twin concepts of financialisation and financial development. Imad Moosa provides a critical review of these two separate strands – the individual measures of economic development and financialisation – on the grounds that they are inadequate to represent a multi-dimensional process. Introducing a new composite measure encompassing the means of payment and asset ownership as well as conventional indicators, Moosa expertly investigates the economic, political and social consequences of financialisation. Identifying the driving forces of financialisation, he concludes that there is a requirement to reverse the current trend using more than just legislation and regulation to secure a sound and stable economy. This innovative book will be a fascinating and informative read for academics and research students of financial economics, regulation and economic sociology. Policy makers and politicians engaged in financial regulation will find the suggested insights into achieving future financial stability thought-provoking.

This book brings together articles by international political economists on Keynesian economics and its legacy. The book begins with Don Patinkin's assessment of Keynes' early life and focuses attention on Keynes' contribution to monetary economics. Among the many controversies surrounding "The general theory", Axel Leijonhufvud takes the view that the Keynesian revolution began and stayed on the wrong track.;Leland Yeager refutes the idea that Keynesian economics was responsible for the general prosperity in the indusrialized world immediately after the Second World War. Although Karl Brunner is not fundamentally against Keynes' methodological approach, he is critical of his reliance on fiscal rather than monetary policy. Whereas Terence Hutchison defends Keynes, both against his critics but also against Keynesians, and argues that Keynes would not have shared their interpretation of his work on fundamental grounds. Patrick Minford traces the roots of neoclassical economics, based on the concept of rational expectations, back to "the general theory". In the final chapter, Stephen Littlechild offers an alternative to Keynesian economics by focusing attention on the Austrian school.

This volume consists of a number of papers related to the theme of the dynamics of inequality and poverty. These are subdivided into four separate parts.

The five chapters in Part I of this volume are concerned with inequality and poverty over extended time periods. Bandyopadhyay and Cowell deal with the concept of vulnerability in the context of income mobility of the poor. Biewen studies the extent and the composition of chronic poverty in Germany, comparing the results with the United Kingdom and the United States. Van de Ven describes a dynamic microsimulation model of cohort labour earnings based on the Australian population aged between 20 and 55 years, and considers how the widening social gap between the Australia and the UK is reflected by their redistributive systems, through the use of static and dynamic microsimulation. Kelly analyses the lifetime distribution of net worth in Australia using a dynamic microsimulation model to project the cross-sectional and lifetime asset holdings of a 5-year birth cohort over a period of 40 years.

In Part II, the issue of intergenerational transfers of poverty is considered. Corak compares generational earnings mobility and the reasons for the degree to which the long run labour market success of children is related to that of their parents across countries. He provides a framework for understanding the underlying causal process as well as the conception of equality of opportunity, as a guide for public policy.. Grawe uses data from the British National Childhood Development Study to examine the quality-quantity trade-off in fertility in multiple measures of child achievement. Maani examines the link between parental incomeand other resources during adolescent years, and higher education choices of the offspring at age 18, using a recent longitudinal data set from New Zealand.

Part III is concerned with inequality over time. First, Wolff examines US inequality since the late 1940s, investigating the role of computer investment, dispersion of schooling and unionisation rate in the rise in inequality between 1968 and 2000. Second, Chotikapanich and Griffiths consider the question of testing for dominance in income distributions through the development of Bayesian methods of inference, which report on changes in income distributions in terms of the posterior probabilities. This allows an assessment of whether income distributions have changed over time.

The final part of this volume is concerned with measurement issues. Makdissi and Wodon propose a measure of extreme poverty which is multidimensional in nature. It recognises the fact that there are interaction effects between different deprivations and that the length of time during which deprivations are felt may have a negative impact on household well-being. In the final contribution, Cowell examines Theil's approach to the measurement of inequality in the context of subsequent developments over recent decades.
*Focuses on the dynamics of inequality and poverty
*Examines inequality and poverty over time, the intergenerational transfer of poverty, inequality over time, and measurement issues
*Chapters discuss inequality and poverty in developed countries around the world, providing a mulitnational perspective

This textbook gives a comprehensive introduction to stochastic processes and calculus in the fields of finance and economics, more specifically mathematical finance and time series econometrics. Over the past decades stochastic calculus and processes have gained great importance, because they play a decisive role in the modeling of financial markets and as a basis for modern time series econometrics. Mathematical theory is applied to solve stochastic differential equations and to derive limiting results for statistical inference on nonstationary processes. This introduction is elementary and rigorous at the same time. On the one hand it gives a basic and illustrative presentation of the relevant topics without using many technical derivations. On the other hand many of the procedures are presented at a technically advanced level: for a thorough understanding, they are to be proven. In order to meet both requirements jointly, the present book is equipped with a lot of challenging problems at the end of each chapter as well as with the corresponding detailed solutions. Thus the virtual text - augmented with more than 60 basic examples and 40 illustrative figures - is rather easy to read while a part of the technical arguments is transferred to the exercise problems and their solutions.

A study of the Malaysian economy and labour market. Malaysia has enjoyed an enviable growth record over the last 25 years of the 20th century, which few nations can match, and has also been keen to judge her performance against non growth criteria of poverty eradication and national unity following the emergence of racial conflict in 1969. There are many lessons for policy makers elsewhere of this active approach to poverty eradication and social restructuring while generating rapid growth, which stands in sharp contrast to both laissez faire and orthodoxy.

The global financial crisis of 2008 has shown the great dangers of a pronounced imbalance in the financial system. The numerous regulatory components of the global financial system all aim to increase the stability and transparency of the system and thereby restore the confidence of market participants in credit institutions. The requirements lead to considerable challenges for the market participants: structures have to be changed, business models have to be revised, systems have to be checked for their functionality. Stable Banks in Challenging Times is a collection of speeches delivered by Andreas Dombret during his eight-year tenure as a board member of the Deutsche Bundesbank, the German central bank, and also, from 2014 onwards, his term on the Supervisory Board of the European Central Bank. He also represented Germany at the G7, the G20, the IMF, the FSB, the Basel Committee, the OECD and the BIS. As witness to the challenges created by the global financial crisis of 2008, Andreas Dombret helped to shape large parts of the new regulatory framework. He successfully monitored future developments such as digitalization, Brexit and climate change, and their effects on the risk situation in the global banking industry. His insights are an invaluable look at the inner workings of global financial regulation and policy. Financial system academics and researchers as well as professionals in banking, the financial sector, central banking and bank supervision will gain perspective from the author's observations as they pertain both to the past and our future.

The horizontalist perspective is an extension of the post-Keynesian approach, that has hitherto focused on a theory of credit and money. This book extends horizontalism beyond its traditional boundaries and makes it consistent with the post-Keynesian theories of output and the open economy. The authors compare and contrast the horizontalist position with various orthodox and non-orthodox views on money. They argue that horizontalism is perfectly compatible with liquidity preference, credit constraints, and a flexible interest-rate mark-up, and address recent developments in banking that reinforce the validity of a horizontal schedule of credit-money. The overall intention is to place horizontalism within the current heterodox tradition as a general theory of the creation of money that is consistent with the post-Keynesian view on macroeconomic policy. Credit, Interest Rates and the Open Economy is essential reading for those who wish to expand their theoretical understanding of international financial issues and will be of great interest to those involved in macroeconomics, money and banking and radical economics.

The Post-Keynesian methodology emphasising uncertainty is indispensable to analysing and understanding the major challenges of the 21st Century. On that basis, this book focuses on the failures of the market economic system to secure stability and sustainability, and demonstrates why this is not recognised by conventional economic theory. The Post-Keynesian economics set out here aims for an understanding of the economy as a whole and as an integral part of society. Chapters analysing money, banks and finance as dynamic phenomena open the book. They are followed by chapters focusing on methodological issues such as uncertainty, longer-term aspects, sustainability and other non-monetary economic activities. This important book is a useful tool for students and researchers who wish to gain a better understanding of real world economics. In these areas where conventional macroeconomic theory may not be sufficient, this book offers viable post-Keynesian alternatives. Contributors include: A. Asensio, V. Chick, S. Dow, A. Freeman, J. Ghosh, C. Goodhart, P. Hawkins, J. Jespersen, M.O. Madsen, R. McMaster, C.J. Rodriguez-Fuentes, R. Rotheim, S. Sen, R. Studart, B. Tieben, G. Tily

As globalization continues to rapidly evolve, economic borders between countries have practically disappeared. One effect is that nowadays companies can access new markets by investing in other countries. This offers an important advantage especially for international and large-scale companies. However, one result is the increased market competition. Small-scale local firms and SMEs have to compete with international firms and corporations that have significantly more resources. This competitive environment jeopardizes the sustainability of the smaller companies, which often are driven out of business by the more powerful global players. This book discusses financial strategies for small and middle size companies to increase their competitiveness in the global markets.

The financial crisis hit the global economy unexpectedly from August 2007 producing consequences comparable to the ones experienced in the course of the 1930s. This book provides a comprehensive interdisciplinary account of the events leading to the financial crisis, its institutional causes and consequences, its economic characteristics and its socio-political implications.
This book represents a unique opportunity to gather the opinions of established experts on financial markets from different academic disciplines and from a different academic traditions debating over the future of the global financial order. Leading economists are confronted with leading political scientists in an effort to assess the future of global financial stability and to propose solutions to the problems envisaged.
This book is essential reading for all interested in macroeconomics, political economy, globalization studies and political science.

This book reveals how the Japanese national ministries can exploit their Special Status Corporations (public corporations, supported primarily with public funding from a state-run banking agency) in order to intensify their administrative power over industries and local governments and to perpetuate the interests of elite civil servants by facilitating the migration to post-retirement positions in the private sector. The book explains why the existence of these organizations inhibits the Prime Ministers efforts to implement structural reforms.

This book is a quarterly forecast and analysis report on the Chinese economy. It is published twice a year and presents ongoing results from the "China Quarterly Macroeconomic Model (CQMM)," a research project at the Center for Macroeconomic Research (CMR) at Xiamen University. Based on the CQMM, the research team forecasts China's major macroeconomic indicators for the next 8 quarters, including GDP growth rate, CPI, PPI, investment in fixed assets, household consumption, imports, exports, and foreign reserves. Moreover, it simulates different scenarios to study the effects of macroeconomic policy on the Chinese economy. In addition to helping readers to understand China's economic trends and policies, this book has three main goals: to help readers understand China's economic performance; to forecast the major macroeconomic indicators for the next 8 quarters; and to simulate the effectiveness of macroeconomic policy.

The bulk of this volume deals with the four main aspects of risk management: market risk, credit risk, risk management - in macro-economy as well as within companies. It presents a number of approaches and case studies directed at applying risk management to diverse business environments. Included are traditional market and credit risk management models such as the Black-Scholes Option Pricing Model, the Vasicek Model, Factor models, CAPM models, GARCH models, KMV models and credit scoring models.

During the recession in the years 2008-2009, the most severe for mature economies in the post-war period, housing markets were often mentioned as having a special responsibility. The objective of this book is to shed light on the cyclical behaviour of the housing markets, its fundamental determinants in terms of supply and demand characteristics, and its relationship with the overall business cycle. The co-movements of house prices across countries are also considered, as well as the channel of transmission of house price changes to the rest of the economy. Particular attention is paid to the effects on private consumption, through possible wealth effects. The book is a compilation of original papers produced by economists and researchers from the four main national central banks in the euro area, also with the participation of leading academics.

Opportunities for growth and investment in Central America could well improve in the coming years, as the region's ties with the world economy grow closer. This integration, however, also presents important challenges for economic policy to ensure that growth can be sustained and can benefit the poor. This book stresses the importance of keeping fiscal policy on a sustainable path, strengthening public investment in basic infrastructure and primary health care and primary and secondary education, and managing the risks associated with partial dollarization. ANA CORBACHO Economist, Fiscal Affairs Department, International Monetary Fund, USA HAMID R. DAVOODI Senior Economist, Middle East and Central Asia Department, International Monetary Fund, USA ALAIN IZE Advisor, Monetary and Financial Systems Department, International Monetary Fund, USA DANIEL LEDERMAN Senior Economist, World Bank, USA VALERIE MERCER-BLACKMAN Economist, Western Hemisphere Department, International Monetary Fund, USA GUILLERMO PERRY Chief Economist of the Latin American and Caribbean Region, World Bank, USA JANET G. STOTSKY Fiscal Affairs Department, International Monetary Fund, USA RODRIGO SUESCN Senior Economis

Corporate governance has become an important issue in all industrial economies. It relates to the internal organization and power structure of the firm, the functioning of the board of directors both in the one-tier and the two-tier system, the ownership structure of the firm, and the interrelationships among management, board, shareholders and possibly stakeholders, in particular the workforce of the enterprise and the creditors. These interrelationships include monitoring of the management by the board and external supervisors, and shareholders activism. This book has grown out of a conference entitled "Comparative Corporate Governance, An International Conference, United States - Japan - Western Europe" which was held in Brussels on 14 June 1995. It was organized by the Financial Law Institute of the University of Ghent, and the Study Centre on Groups of Enterprises in Brussels under the scientific direction of Eddy Wymeersch. The book contains the contributions by the speakers in an enlarged and updated form together with source material and references. The editors have collected a selection of 18 documents on corporate governance from seven countries (United Kingdom, USA, Canada, France, Germany, the Netherlands and Belgium). These documents date from the 1990s, most of them from 1995 and 1996, and are to be made available more easily to business and academia in other countries than the one in which they have been elaborated. They offer a wealth of data, insights, self-regulatory experiences and legislative proposals which show that, despite all the national deep-rooted differences, the core problems are very similar indeed.

This book presents modern developments in time series econometrics that are applied to macroeconomic and financial time series, bridging the gap between methods and realistic applications. It presents the most important approaches to the analysis of time series, which may be stationary or nonstationary. Modelling and forecasting univariate time series is the starting point. For multiple stationary time series, Granger causality tests and vector autogressive models are presented. As the modelling of nonstationary uni- or multivariate time series is most important for real applied work, unit root and cointegration analysis as well as vector error correction models are a central topic. Tools for analysing nonstationary data are then transferred to the panel framework. Modelling the (multivariate) volatility of financial time series with autogressive conditional heteroskedastic models is also treated.

This series provides overviews and case studies of states and sectors, classes and companies in the new international division of labour. These embrace political economy as both focus and mode of analysis. The series treats polity-economy dialects at global, regional and national levels and examines novel contradictions and coalitions between and within each. There is a special emphasis on national bourgeoisies and capitalisms, on newly industrializing or influential countries and on novel strategies and technologies.;The concentration throughout is on uneven patterns of power and production, authority and distribution, hegemony and reaction. Attention is paid to redefinitions of class and security, basic needs and self-reliance and the range of critical analysis includes gender, population, resources, environment, militarization, food and finance.;This particular volume looks at the industrialization of Singapore and challenges the dominant understanding of Singapore as a case where "correct" policies have made rapid industrialization possible and raises questions about the possibility and appropriateness of its emulation. The study focuses on the relationship between internationa

Having the high unemployment in Germany in mind, this book discusses how macroeconomic theory has evolved over the past forty years. It shows that in recent years a convergence has taken place, with modern models embodying a Keynesian transmission mechanism, monetarist policy implication, and modeling techniques inspired by new classical economics and real business cycle theory. It also probes in which direction models may be extended from here. Empirically, the book uses different econometric techniques to investigate the relevance and implications of different macroeconomic theories for German data. A key question this book investigates is the role of demand and supply side conditions for the increase in the German unemployment rate. On a policy level, the book relates the implications of the different theories to the ongoing debate on the appropriate roles of demand and supply side policies for curing the German unemployment problem.

The book proposes a monetary policy regime that is suitable for the European Periphery on the road to the euro. The first part examines the relation between the eleven founding members of the EMU and countries staying out of the EMU - paying particular attention to the European Periphery that includes Greece and all those CEE transition countries which have recently applied for EU membership. The second part of the book argues against ERM-II participation for those countries. It stresses the limits in efficiency of an ERM-II arrangement in a world of increased international capital movements, fiscal imbalances, and asymmetric real shocks. The third part offers a consistent and credible monetary framework for the achievement of price stability at the European Periphery: adoption of explicit and formal inflation targets together with political and economic independence of the central bank.

The countries of Central and Eastern Europe have begun an unprecedented process of rapid change in their political, economic, and social characters. Using a unique comparative perspective, this volume brings together leading scholars from the United States and Eastern Europe to describe and analyze the political democratization and economic decentralization in Czechoslovakia, Hungary, Poland, Germany, and the fragmenting Soviet Union. The contributors explore the pace of democratic transformation in each country and find that political democracy has outpaced the development of a market economy, and that these transformations have considerable social costs. They also reveal the different levels of risk for Western investors that each country holds. They conclude that each of these countries will eventually develop a market economy consistent with its needs and desires, much different from the U.S. model. Shama's analysis includes observations on the abortive coup attempt in Moscow in August 1991, making this an up-to-date and relevant study of the present highly volatile situation in the region.

The volume starts with a look at perestroika and glasnost in a comparative framework of economic and political restructuring. Perestroika and the implications for the future of the states in the Soviet Union are then explored. Hungary, Poland, and Czechoslovakia are also analyzed in terms of the accomplishments of their political and economic transformations. The case of East Germany receives special attention. The concluding chapter includes a systematic comparison of the above countries as well as Yugoslavia and Romania. Students and scholars of international politics and economics as well as management experts will find this book useful in understanding the recent changes in Eastern Europe and the Soviet Union.